Sallie Mae 2011 Annual Report Download - page 113

SLM CORPORATION
CONSOLIDATED STATEMENTS OF INCOME
(In millions, except per share amounts)
Years Ended December 31,
2011 2010 2009
Interest income:
FFELP Loans ................................................................. $3,461 $3,345 $3,094
Private Education Loans ........................................................ 2,429 2,353 1,582
Other loans .................................................................. 21 30 56
Cash and investments .......................................................... 19 26 26
Total interest income ............................................................. 5,930 5,754 4,758
Total interest expense ............................................................ 2,401 2,275 3,035
Net interest income .............................................................. 3,529 3,479 1,723
Less: provisions for loan losses ..................................................... 1,295 1,419 1,119
Net interest income after provisions for loan losses ..................................... 2,234 2,060 604
Other income (loss):
Securitization servicing and Residual Interest revenue ................................. — — 295
Gains (losses) on loans and investments, net ........................................ (35) 325 284
Losses on derivative and hedging activities, net ...................................... (959) (361) (604)
Servicing revenue ............................................................. 381 405 440
Contingency revenue ........................................................... 333 330 294
Gains on debt repurchases ....................................................... 38 317 536
Other ....................................................................... 68 6 88
Total other income (loss) .......................................................... (174) 1,022 1,333
Expenses:
Salaries and benefits ........................................................... 521 561 540
Other operating expenses ....................................................... 579 647 503
Total operating expenses ........................................................ 1,100 1,208 1,043
Goodwill and acquired intangible assets impairment and amortization expense ............. 24 699 76
Restructuring expenses ......................................................... 9 85 10
Total expenses .................................................................. 1,133 1,992 1,129
Income from continuing operations, before income tax expense ........................... 927 1,090 808
Income tax expense .............................................................. 328 493 264
Net income from continuing operations .............................................. 599 597 544
Income (loss) from discontinued operations, net of tax expense (benefit) .................... 33 (67) (220)
Net income .................................................................... 632 530 324
Less: net loss attributable to noncontrolling interest ..................................... (1) — —
Net income attributable to SLM Corporation .......................................... 633 530 324
Preferred stock dividends ......................................................... 18 72 146
Net income attributable to SLM Corporation common stock .............................. $ 615 $ 458 $ 178
Basic earnings (loss) per common share attributable to SLM Corporation:
Continuing operations ............................................................ $ 1.13 $ 1.08 $ .85
Discontinued operations .......................................................... .06 (.14) (.47)
Total ......................................................................... $ 1.19 $ .94 $ .38
Average common shares outstanding ................................................ 517 487 471
Diluted earnings (loss) per common share attributable to SLM Corporation:
Continuing operations ............................................................ $ 1.12 $ 1.08 $ .85
Discontinued operations .......................................................... .06 (.14) (.47)
Total ......................................................................... $ 1.18 $ .94 $ .38
Average common and common equivalent shares outstanding ............................ 523 488 472
Dividends per common share attributable to SLM Corporation ............................ $ .30 $ — $ —
See accompanying notes to consolidated financial statements.
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